Statistics & Trends
Park City Utah Foreclosures Revitalize Local Market?
March 8th, 2010 Categories: Real Estate, Statistics & Trends, Utah Facts and Fiction
In some ways, foreclosures are a good thing.
Not for the families who lost their properties, but for the overall health of the real estate market.
In a luxury resort marketplace where sellers traditionally have significant staying power and a lack of urgency to drop asking prices, realistic sellers are now dropping prices to compete with banks who control an increasing percentage (though still very small relative to the overall size of the market) of the listing inventory.
Park City, Utah Foreclosures
Foreclosures and short-sales are on the rise in Summit County, Utah.
Take a look at the chart…compliments of Rick Klein at Mountain Summit Mortgage in Park City.
For years, Mr. Klein has tracked the relationship between recorded “Notices of Default” (NOD’s) when borrowers fall behind on their payments, and the subsequent rise in Trustees Deeds, which evidences banks either selling or foreclosing on properties.
For the first time in the past 7 quarters, the number of Notices of Defaults actually dropped in Q4 2009.
Do Park City Foreclosures predict the bottom is near?
Since NOD’s foreshadow actual foreclosures by a few months, could this be a sign that the Park City real estate market is nearing a bottom?
Time will tell…
Foreclosures Push Park City Real Estate Prices Down
The increase in bank-controlled inventory has helped push prices down…
Sellers hate this news, but buyers in today’s market are finding amazing deals.
At lower prices, buyers have less risk and are obviously more enthusiastic about entering the market again, as evidenced by the dramatic uptick in pending and closed sales.
Average prices are down, but number of transactions are up…way up when compared year-over-year.
Signs of Recovery in the Park City Real Estate Market?
Barrons Names Park City Best Place for Second Home
The pullback in prices in Park City has not gone unnoticed.
Did you catch the cover article in Barrons this week that claimed Park City, Utah is one of the top-5 towns in the country for a second home? Here is the Barrons article about Park City.
Find a Great Deal on Park City, Utah Properties
Our clients have been negotiating shocking low prices on Park City properties over the past year. For lists of available bank-owned properties in and around Park City, Utah, please complete the form below:
Related Articles:
Silver Strike Deer Valley Condo Auction
Flagstaff Deer Valley Developer Reacts to Auction Next Door
Silver Strike Developer Offers All Remaining Deer Valley Condos at Auction-Level Prices
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Deer Valley Home Sales: Market Update
August 9th, 2009 Categories: Deer Valley®, Statistics & Trends
Homes In Deer Valley, Utah Still Selling!
Deer Valley homes are still selling, in spite of the challenging economy.
What’s interesting is that the demand in the marketplace for ultra-exclusive Ski-in/ski-out homes has remained strong, while homes with less convenient access are sitting on the market for long periods of time with relatively few sales.
Deer Valley Home Sales Prices Increasing–What’s the Catch?
If you look at average sales prices of homes sold in Deer Valley 2009 year to date, you might be surprised to see that the average sales price actually increased in 2009.
So far, 15 homes have sold 2009 YTD.
In a surprising statistic, 12 of the 15 were ski-in/ski-out properties!
Buyers of these properties are apparently much less impacted by the difficulty of the current lending environment.
The market for homes in Lower Deer Valley with no ski access has been minimal–only three such properties have sold so far.
Here’s the good news about Deer Valley Homes…
There are some Deer Valley home sellers who NEED to sell.
They’re past the point of waiting until they can get their optimal price. We’re even beginning to see a few foreclosures and short sales.
…But how do you know which ones are the best deals?
It’s easy–just ask us!!!
If you have been waiting for a great deal on a Deer Valley home, now is the time to start throwing out some low offers to see who bites!
Please help us understand what type of home you’re looking for, and we’ll let you know as soon as any homes that meet your criteria hit the market.
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Deer Valley Condos: Current Sales Stats
August 9th, 2009 Categories: Deer Valley®, Dining & Entertainment, Jordanelle, Local Services, Real Estate, Statistics & Trends
We just received a great question from one of our subscribers, who asked…
“How does current inventory and list prices of Deer Valley condos compare to the last 5 years?”
Quick answer: Inventory is increasing, and average sales prices are dropping. Not surprising, based on national real estate trends.
It’s interesting to note that prices of ski-in/ski-out condos are holding their value better than Deer Valley condos with less convenient ski access.
Average sales prices of ski-in/ski-out condos have re-traced back to 2006 levels, whereas Deer Valley condos without ski-in/ski-out access have dropped back to 2004-05 levels.
Why do we see this divergence in the sales numbers?
Are Deer Valley Condos with Ski Access Better Investments?
Time will tell…
Lending probably plays a big role. Cautions lenders have reduced maximum loan amounts, increased documentation requirements, and have generally made condo financing more difficult and more expensive than it was during the real estate boom of 2004-2007 in Park City & Deer Valley.
Today’s purchasers of new luxury condo in Empire Pass, Grand Lodge, Flagstaff, Silver Strike Lodge, Ironwood, and others may still have the resources to pay cash for their purchases.
Buyers of less-expensive resale condos in Lower Deer Valley may be more reliant upon financing for a portion of the purchase price.
Deer Valley Condo Market: The Influence of Financing Changes
As it has become more difficult and more expensive to obtain financing, fewer investors who qualify for loans are active in the current market.
This has caused an increase in inventory, decrease in prices, and we’re seeing fewer condos sold.
Don’t jump to the wrong conclusion when you see the YTD 2009 numbers.
We’ll have to revisit these stats at the year-end, after the long awaited St. Regis Resort & Residences condos close in October/November! That should contribute another 60 condo sales by year end, not to mention whatever other sales transpire between now and Jan 1st.
This is the Time to Get a Great Deal On A Condo In Deer Valley!
One big change in the recent statistics is the change in the list price to closed price ratio. For the first time in 8 years, the ratio dropped below 90%!
True, there’s less new construction reflected in the 2009 sales numbers. Over the past few years, it wasn’t uncommon for sales prices to be 100% of list price for new construction properties.
But still, there’s no denying that there are plenty of motivated sellers in today’s marketplace.
Are you serious about finding a great deal and taking advantage of a motivated seller in today’s market? We can help! Let us know what you’re looking for:
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Park City Pending Sales Way Up!
June 29th, 2009 Categories: Park City, Statistics & Trends
Park City Real Estate Market: Did We Hit “The Bottom”?
If you’re like most people, even if you’re convinced that Park City’s LOCATION is right for your family’s future mountain getaway, you have been waiting for the right TIMING to invest, right? Resourceful, disciplined investors take advantage of market fluctuations to acquire assets at rock-bottom prices.
Park City Pending Sales By Month
As you can see for yourself, the number of pended sales in the Park City area is up. Way up over previous months. Inventory is being absorbed at a much faster rate than any point during the year.
What does this mean for you?
Procrastination is Your Enemy.
This is the opportunity you have been waiting for. Finally, there’s a chance to enter the Park City market when prices are depressed and you have superb variety of properties to evaluate. Imagine the alternative–you could wait ’til next year…
…When the sellers who DESPERATELY NEEDED to sell already did, after savvy buyers already grabbed the most desirable properties at the best prices–the kind of deals worth bragging about in years to come.
We Guide You to the Best Deals…but We’re Not Mind-Readers!
Our distinctive style of service allows you to chart your own course. We will explore your specific goals and listen to where you are in your research process, so we can support you in your search. You’re in control, and we’re always there when you need us.
Describe what you’re looking for and we’ll work tirelessly to help you find and acquire it. It’s that EASY.
Contact Us Today for a No-Obligation “Market Bottom Consultation”
Imagine the fun you’ll have when your family finally owns a legacy property in Park City! But the process takes time and careful planning. Don’t miss this rare market opportunity–it’s a winning decision!
We’re waiting to hear from you. Just send us a quick note to: Info@ParkCityRealEstateGuide.com
Or, for faster service… Call ParkCityRealEstateGuide.com today at 1-800-485-0218.
Warning:
You might be surprised by the tone of our conversation. There will be no pressure, no hassles, no gimmicks. But don’t just take our word for it. Find out for yourself!
We only take on a handful of serious buyers each month to ensure remarkable service and results. If you don’t like our style, it’s not a problem. Simply ask us not to contact you again, and we’ll pleasantly honor your request. We can’t work with everybody…
In short, you’ve got nothing to lose….and think of what you have to look forward to!
RELATED ARTICLES:
Park City Real Estate Sales Stats
Record Deer Valley Land Deal
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2008 Park City Real Estate Sales Stats
January 27th, 2009 Categories: Real Estate, Statistics & Trends
We are all happy to see 2008 in the rear view mirror.
Park City Real Estate Sales: The Truth About 2008…
The stats are now compiled, so let’s look back at 2008 Park City real estate sales.
(Data courtesy of the Park City Board of Realtors)
Park City Home Sales
In 2008, 496 homes sold in the greater Park City, Utah area. This represents a 41.4% decline in the number of homes sold compared to 2007. Total home sales volume was down 47.8%. The average sales price was $974,953, an 11.3% decrease from the previous year.
Park City Condo Sales
In 2008, 483 condos sold, a 38.5% decrease from 2007. Total condo sales volume was down 42.4%, but the average sales price declined only 6.3% across all MLS areas.
Park City Land Sales
In 2008, 209 lots sold, down from 551 lots in 2007. Total sales volume of vacant land in 2008 was $113,309,829 a 67% decrease from 2007.
Park City Sales Stats
Here’s the bottom line… The real estate market in the Park City & Deer Valley area is not dead.
True, the global economic conditions have been felt in Park City, but overall the Park City market is still showing strength compared to most of the rest of the country.
Total sales volume was just over $1 billion in 2008. This was the 5th best year in the history of Park City real estate (only 2004-2007 were better).
Want to Track Park City Real Estate by Neighborhood?
Click Here for Park City Sales Stats By MLS Area
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Deer Valley Homes: Ski Access Preserves Value
November 16th, 2008 Categories: Deer Valley®, Real Estate, Statistics & Trends
As real estate markets around the country have deteriorated along with the global equities markets, there is a bit of good news for some resort property owners…
Do Deer Valley Home Owners With Ski-In/Ski-Out Access Have Down-side Protection?
This chart demonstrates the importance of ski access to property values in Deer Valley, Utah.
The average sales price of all homes in Deer Valley fell 18.05% to $3,245,576 from 2007 to 2008 (through 10/31/08).
The average sales price of ski-in/ski-out homes increased 12.48% to $6,235,958 during the same period.
You can see this divergence on the chart from 2007-2008.
It could be worse for homes without ski-in/ski-out access.
Since the inclusion of ski-in/ski-out homes in the “All Deer Valley Areas” category boosts the average sales price, the market for homes without ski access may have softened even more than the chart displays.
Based on this chart, now could be an excellent time to hunt for deals in Lower Deer Valley, but don’t expect to see substantial declines in Upper Deer Valley Homes or Homes in Empire Pass.
Related Articles:
Deer Valley Homes: Market Sales Stats
Bald Eagle Club: Deer Valley’s Gold Coast
Land Your Private Jet in Heber City
The Halo Effect of Branded Hotels in Park City & Deer Valley
Park City and Deer Valley’s Best Cash Flow Condos are…
The Best Cash-Flow Condos in Deer Valley (Part II)
Deer Valley Is Not the Only Smart Money Bet in Town (Part III)
St. Regis Resort and Residences, Deer Crest
Dakota Mountain Lodge and Waldorf=Astoria Announcement
Deer Valley Montage Hotel
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How To Buy Park City & Deer Valley Real Estate in Your IRA
November 11th, 2008 Categories: Real Estate, Statistics & Trends, Utah Facts and Fiction
Wild Stock Market Preventing You From Building Wealth in Your Retirement Account?
If so, you may want to join the growing number of people who are investing their retirement funds in real estate.
There’s real long-term investment growth potential in using tax-deferred funds to purchase property.
The Problem With Most IRA’s
Most IRA Custodians–like brokerage companies and banks–limit your investment options to instruments that benefit them!
They offer you a menu of choices that include cash, CD’s, stocks, bonds, mutual funds, ETF’s, etc…
But Wait…You Have Other Options!
In reality, the IRS code does allow retirement plans to invest in a much broader selection of investments like:
- Real Estate (land, condos, commercial property, etc…)
- Leases
- Trust Deeds
- Tax Lien Certificates
- Commodities
- Limited Partnerships
- Mortgage Notes
- Secured & Unsecured Loans
- And More…
To successfully navigate the IRS Code, you must find a professional firm who is experienced with this process.
Real Estate IRA Step #1: Find a Competent “Custodian”
The first step is to find an IRA Custodian that is experienced at handling the details of this process.
This has become a popular niche in recent years, and it shouldn’t be too hard to find a competent custodian. Ask your CPA or tax attorney if they handle “Self-Directed Retirement Plans” or who they would recommend. We just did a quick search on Google, and you’ll find lots of specialists promoting their services online.
You can’t serve as “Custodian” of your own account, and the “Custodian” is the firm who actually holds title to the real estate. Do your homework, and understand the process.
Real Estate IRA Step #2: Find a Suitable Property
You’ll probably want to enlist the help of a competent local real estate broker to find a suitable property. They’ll also help you manage all the little transaction details.
This is your retirement fund we’re talking about, so let the experts help you navigate the process and avoid surprises!
In addition to domestic homes, condos, land, and commercial properties, some custodians may permit you to purchase foreign property.
Real Estate IRA Step #3: Assembling Your Funds & Closing
Sometimes purchasing a property may require more funds than you currently have available in your IRA account.
Don’t despair! You can purchase an interest in the property in conjunction with other individuals.
What about your spouse, a business associate, or a friend–are their retirement plans declining in value from over-exposure to the stock market too?
Borrowing funds is possible, but the loan must be a non-recourse loan.
A non-recourse loan is secured by a pledge of collateral–typically real property–but for which the borrower is not personally liable. If the borrower defaults, the lender/issuer can seize the collateral, but the lender’s recovery is limited to that collateral.
Non-recourse loans are still available, even in today’s risk-averse lending environment.
Expect lower loan-to-value ratios than with conventional financing, and you’ll often need to have 30-40% of the purchase price as a down payment.
A title/escrow company will prepare the closing documents, along with your custodian. At closing, the title to your newly-acquired property will reflect the name of your IRA Custodian for your benefit
Real Estate IRA Step #4: Operating Your Property
All expenses, including taxes, insurance, and repairs, must be paid from funds in your IRA.
You’ll need extra liquid funds available to pay these expenses. These funds can come from the deposit of rental income from the property into your IRA acct, or making annual contributions as the law allows.
Real Estate IRA Step #5: Selling Properties Held By Your IRA
It is possible to sell properties while they are held by your IRA, provided that the purchaser is not a family member.
After your sale closes, your IRA account now holds the cash proceeds, and you’re free shop for new investments!
Intrigued? Here’s Your Next Step…
If you would like to learn more about how you can invest some of your hard-earned retirement savings in Park City & Deer Valley real estate, please complete this short form:
Our Privacy Policy: It’s simple. We will not share your contact info with anybody for any reason. Period.
PS: The process may sound a bit intimidating…but with the right experts helping you every step of the way, you’ll be surprised how quickly and easily you’ll be on your way to making your retirement dollars really work effectively for you.
*A Few Important Notes:
The IRS will not let you occupy your IRA-Owned property as a primary residence.
Furthermore, you cannot place real estate that you already own into your own IRA.
* This article is a highly simplified overview of a technical and specialized process. You should consult with an attorney, your CPA, and a qualified Custodian to complete an IRA real estate investment.
Related Articles:
Waldorf Astoria Collection Dakota Mountain Lodge
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Park City MLS Sales Volume
April 11th, 2008 Categories: Statistics & Trends
We just received this question from one of our blog readers:
“How does the total volume of PCMLS sales in 1st quarter ‘08 compare with ‘06 and ‘07″
So we did a little research…Here are the results:
Park City Real Estate Sales Volume By Quarter 2002-2008
Park City MLS Areas 1-37
Sales Volume Includes Homes, Condos, Land, Commercial, Fractional
First Quarter Comparison
Quarter 1 2008 $318,529,716
Quarter 1 2007 $993,535,986
Quarter 1 2006 $1,074,994,736
Quarter 1 2005 $958,984,808
Quarter 1 2004 $482,420,515
Quarter 1 2003 $327,833,715
Quarter 1 2002 $301,966,270
*Statistics Courtesy of the Park City Board of Realtors
Second Quarter Comparison
Quarter 2 2007 $1,000,657,355
Quarter 2 2006 $939,598,086
Quarter 2 2005 $1,137,881,194
Quarter 2 2004 $637,795,946
Quarter 2 2003 $386,152,732
Quarter 2 2002 $365,544,559
Third Quarter Comparison
Quarter 3 2007 $526,424,478
Quarter 3 2006 $426,187,590
Quarter 3 2005 $589,895,046
Quarter 3 2004 $354,901,545
Quarter 3 2003 $211,802,454
Quarter 3 2002 $197,293,163
Fourth Quarter Comparison
Quarter 4 2007 $450,409,188
Quarter 4 2006 $397,002,139
Quarter 4 2005 $570,381,959
Quarter 4 2004 $397,685,997
Quarter 4 2003 $225,219,318
Quarter 4 2002 $187,481,680
*Statistics Courtesy of the Park City Board of Realtors
To explore the market momentum of homes, condos, and land in the Park City marketplace, check out the following posts:
Park City Condo Sales Statistics
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Park City Condo Sales Stats
April 4th, 2008 Categories: Statistics & Trends
Park City Utah Condo Prices Still Rising
We’re not kidding!
So much for the real estate doom and gloom we read about every day in the national media.
Check out this chart…
It shows average and median sales prices for Condos in Old Town (MLS area #1) Park City, Utah over the past 10 years.
Not quite what you expected to see, particularly in the 2007 and 2008 years?
How can this be?
*Statistics Courtesy of the Park City Board of Realtors
Every Regional Real Estate Market has its Own Local “‘DNA.”
We know genetics professors in the crowd will cringe at the analogy, but it’s not a crazy way to look at real estate markets.
Each local real estate market around the country has a two main driving forces–Supply and Demand.
The relative amounts of each of these factors will create a different expression of prices and price momentum.
Areas with massive over-supply might see”foreclosure bus tours” but it doesn’t mean every market in the USA is spiraling downward. Properties with scarce supply and high demand will prices climbing higher and higher.
That’s why properties like the Waldorf=Astoria Dakota Mountain Lodge and Golden Door Spa at The Canyons has sold more than 30 residences YTD in 2008, at average prices that continue to increase rapidly.
”What’s The Story Behind The Extraordinary Appreciation rates in Park City, Utah?”
Simply put, it’s not reasonable to assume that the value of every property in the Park City market has appreciated at the rates in the Table here.
New Construction Is Booming in Park City.
It’s a fact that the type and quality of condos available today are totally different from what was available in the late 1990’s.
There was nothing like the Silver Star development at the base of Park City Mountain Resort.
What’s the story with the big drop in Old Town Park City Condo appreciation in the year 2003?
*Statistics Courtesy of the Park City Board of Realtors
Park City Real Estate DNA
Sometimes local events that have big impacts locally, and cause local market conditions to operate on a totally different curve than what’s happening nationally.
Remember that little-known event Utah hosted in February of 2002–The Winter Olympic games?
The years leading up to the Olympics were a time of enthusiastic speculation by local builders. Supply exceeded demand, and so prices dropped correspondingly.
Old Town Park City Condo Sales Table
What about the Broad Real Estate Market stats in Park City? Read the following posts for the rest of the story:
Park City Total Sales Volume 2002-2008
What Will Happen to Prices in Park City for the Rest of 2008?
We look forward to your comments below!
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Park City Home Loan Limits Increase
March 16th, 2008 Categories: Real Estate, Statistics & Trends, Utah Facts and Fiction
Park City Home Buyers Rejoice…
The Economic Stimulus Act of 2008 Makes Borrowing Less Expensive! Because the Park City, Utah area qualifies as a “high-cost” area, it received the maximum allowable increase under the new stimulus plan.
The New “Conforming” Loan Limits Expire December 31st
Between April 1st and December 31st, 2008 FHA, Fannie Mae and Freddie Mac “Conforming” loan limits in Summit County will be raised to $729,750. In nearby Wasatch County, the “Conforming” limits were raised to $431,250.
This should open the door for Park City Home buyers to purchase or refinance their properties at “Conforming” loan rates, as opposed to paying “jumbo” loan rates. In recent weeks, jumbo loans have carried about a one point premium in rates over conforming loan products.
This is good news for buyers, as the “Mortgage Crisis” has made real estate financing more difficult and more expensive in recent months. Here are the new FHA Mortgage Limits for every county in the USA.
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